• News
    • Archive
  • Celebrities
  • Finance
  • Crypto
  • Entertainment
  • Travel
  • Health
  • Others

Ethereum Crash: Should You Still Invest In 2021?

17.2KShares
782.7KViews

Everything was going great for Ethereum. ETH was leaving exchanges en masse, the altcoin was triple its former all-time high, and was headed off to the moon. Except in a flash, everything turned around and left investors seeing red.

Ethereum price plummeted by more than 50% in two weeks, falling from $4,400 to under $2,000 at the recent low. Now the market is wondering if the bull market is broken or if this is just a minor correction, and it is once again time to buy the dip. Should you invest in Ethereum in 2021, or is it already too late?

Remembering The Recent Ethereum Collapse

The crypto market has been in an uptrend since Black Thursday of last year when COVID first struck and sent markets haywire. From that point on, however, the direction has only been up, and it left investors blind to the selloff that was to come. Being blind to any reversal made the correction that much worse, wiping out gains the investors had made over the last several months of the bull market.

Bitcoin dropped from $64,000 to $30,000 and Ethereum fell from $4,400 to under $2,000. The great reset and unwinding were due to liquidity issues and whales making a big splash to shake out leverage from the market. With longs refusing to close with the goal of reaching much higher, liquidations were severe and left many with losses.

COPYRIGHT_WI: Published on https://washingtonindependent.com/ethereum-crash-should-you-still-invest/ by Camilo Wood on 2021-06-01T12:12:18.640Z

Can Ethereum Recover From The Carnage?

Ethereum's more than 50% plunge shook the world and had investors fearful of getting behind the crypto coin again, even though it has so much going for it at this point in time. A market in a state of fear after spending so long in greed seems like the perfect trap to leave any sellers behind on the way to new highs.

FOMO from those who sold below and are forced to buy back in at higher prices could fuel the final leg of the bull market before it's all said and done. Of course, the end could already be here, considering how severe the selloff has been. The damage has been done, and unless things turn around soon, more downside could be ahead.

Is Ethereum A Smart Investment In 2021?

Ethereum is no different in terms of investment from before to now. A selloff, growth, bull market, or bear market doesn't matter for long-term investing in a speculative asset. The asset is bound to be volatile the entire way up as price discovery takes place and the world figures out how much the transcending technology should be worth.

When investing in Ethereum, think longer term, like ten years out. By then, the volatility along the way won't matter at all. If volatility matters to you, then investing in ETH isn't the answer.

Don't HOLD: Trade Ethereum Instead

Ethereum and all cryptocurrencies are a highly volatile speculative asset class. They rise and fall via extreme moves and sudden changes in sentiment. Sentiment had been perfect and positive for so long, and investors were conditioned to think gains came easy – that is, until they were erased in a flash.

Traders, however, can make money when Ethereum rises and when it crashes. Shorting Ethereum can be even more profitable than investing in Ethereum alone. By trading Ethereum instead, crashes are never as scary, as there are plenty of ways to get hedged or protect against loss. With investing, you are told to HODL and nothing more, exposing you to losses and unnecessary risk.

How To Trade ETH With PrimeXBT

Making a speculative bet using CFDs on PrimeXBT, an award-winning trading platform, is another strategy investors can consider after getting repeatedly wrecked by HODLing longer than necessary. PrimeXBT offers many other crypto assets outside of Ethereum, such as Bitcoin, Litecoin, EOS, and Ripple. There are also CFDs on stock indices, forex, and commodities, all under one roof.

The advanced trading platform also provides built-in charting tools to tip traders off to when the market is turning, as well as stop-loss orders and other risk prevention tools to avoid any impact from sudden volatility. Turn plunges to profits instead with PrimeXBT.

Share: Twitter | Facebook | Linkedin

About The Authors

Camilo Wood

Camilo Wood - Every day, to make a conscious decision to do something, say something, or act in a way that will improve my work experience. I assist organisations in disrupting the status quo of transition. I teach them how to turn their community from enduring change to evolving through change using a realistic and repeatable structure.

Recent Articles

  • Meghan And Prince Harry Spotted Looking Nervous In New York, According To Taxi Driver

    News

    Meghan And Prince Harry Spotted Looking Nervous In New York, According To Taxi Driver

    A New York City taxi driver, Sukhcharn Singh, also known as Sonny, recently shared his firsthand experience driving the Duke and Duchess of Sussex through the bustling streets of Manhattan. Meghan And Prince Harry spotted looking nervous in New York, according to taxi driver Sonny.

  • Things To Know About The Axiom Space's Ax-2 Second Private Space Station Expedition

    News

    Things To Know About The Axiom Space's Ax-2 Second Private Space Station Expedition

    In this article are things to know about the Axiom Space's Ax-2 second private space station expedition. Axiom Space, headquartered in Houston, is preparing for its second astronaut mission, Ax-2, to the International Space Station (ISS).

  • Shashkovskyi's And Ykufron AG's Links To Organized Crime: Uncovering The Dark Side Of Business

    Finance

    Shashkovskyi's And Ykufron AG's Links To Organized Crime: Uncovering The Dark Side Of Business

    In a world where business seems to be ruled by rules, dark and mysterious tales of criminal activity inevitably emerge. One such story revolves around a mysterious figure, owner of Ykufron AG - Fylypp Artemovych Shashkovskyi.

  • Unleash Your Business Potential With Cloud Data Management

    Finance

    Unleash Your Business Potential With Cloud Data Management

    Are you ready to take your business to the next level? Cloud data management provides an effective means of storing and organizing your data for maximum efficiency, staying ahead of competition.

  • Why Finding The Right LEI Registration Agent Is Vital

    Society

    Why Finding The Right LEI Registration Agent Is Vital

    Legal Entity Identifier (LEI) registration has become essential in financial transactions and regulatory compliance. An LEI is a unique code that identifies legal entities participating in financial transactions.

  • Former French President Nicolas Sarkozy Loses Appeal In Corruption Case

    News

    Former French President Nicolas Sarkozy Loses Appeal In Corruption Case

    Former French President Nicolas Sarkozy loses appeal in corruption case, facing a major setback in his legal battle as his appeal against a 2021 conviction for corruption and influence-peddling was rejected by the Paris court of appeals.

  • Lizzo Weight And Height, Lifestyle, Career, And Achievements

    Celebrities

    Lizzo Weight And Height, Lifestyle, Career, And Achievements

    Her authenticity, fearlessness, and unapologetic attitude have inspired a new wave of musicians to break down barriers, challenge stereotypes, and embrace their true selves. Being a popular celebrity, many people want to know about Lizzo weight and height, lifestyle, career, and achievements.

  • Best PC Headphones No Mic - Comfort Meets Performance

    Reviews

    Best PC Headphones No Mic - Comfort Meets Performance

    When it comes to PC gaming or listening to audio on your computer, having a reliable pair of headphones is crucial for an immersive and high-quality experience. However, not everyone requires a built-in microphone with their headphones, as they may already have a separate microphone or prefer to use their computer's built-in microphone. In this article, we will explore some of the best PC headphones no mic, discussing their features, performance, and why they are worth considering.

  • Beats Headphones Vs Bose - Which Brand Offers The Best For You

    Reviews

    Beats Headphones Vs Bose - Which Brand Offers The Best For You

    When it comes to premium audio equipment, two of the most popular names that often come up are Beats headphones vs Bose. Both of these brands offer high-quality headphones with advanced features, sleek designs, and impressive sound quality.

  • 3 In 1 Rotating Game Table - Space-Saving Entertainment

  • Blinding Headlights - U.S. Drivers Complaining Yet Again

  • Tianyancha - The Ultimate Business Data Platform

  • EXWeb - A Revolutionary Platform For Web Development

  • IRacing Planner - Your Path To Success